Key Takeaways
- Cybersecurity is the top risk facing businesses, according to a new survey by Protiviti
- Cybersecurity is also the top investment priority for executives, with COOs, CIOs, CISOs, and CFOs placing it in their top three
- Third-party risks, closely associated with cybersecurity threats, ranked second on executives’ list of concerns
- Cybersecurity is a strategic enterprise risk with implications for brand reputation, operational continuity, and regulatory compliance
- CEOs did not rank cyber threats in their top five concerns, instead prioritizing labor availability, retention, and labor costs
Introduction to Cybersecurity Risks
Cybersecurity has become a major concern for corporate executives, with a new survey by Protiviti revealing that it is the top risk facing their businesses. The survey, which was published on December 11, found that cybersecurity is not only the top risk but also the top investment priority for executives. This is not surprising, given the increasing number of cyberattacks and data breaches that have been reported in recent years. The survey also found that third-party risks, which are closely associated with cybersecurity threats, ranked second on executives’ list of concerns. This suggests that companies are not only worried about internal cybersecurity threats but also about the risks posed by external parties, such as vendors and suppliers.
The Universality of Cybersecurity Concerns
The Protiviti survey found that cybersecurity is a concern that is shared by executives across all sizes of organizations, roles, and geographic regions. Board members, chief financial officers, and chief operating officers all identified cyber threats as the top risks to their businesses, as did chief information officers, chief technology officers, and chief information security officers. This widespread prioritization of cybersecurity underscores the recognition that it is no longer a siloed IT issue but rather a strategic enterprise risk with implications for brand reputation, operational continuity, and regulatory compliance. The survey also found that cybersecurity is a concern that is shared by executives in almost every geographic region, with cyber risks topping the list for executives in North America, Latin America, Europe, and India.
CEO Priorities
Interestingly, the survey found that chief executive officers did not even rank cyber threats in their top five concerns. Instead, CEOs placed labor availability first, followed by retention and labor costs. This is likely due to the fact that CEOs are currently focused on navigating the challenges posed by the global economy, including labor shortages and supply chain disruptions. However, this does not mean that CEOs are not concerned about cybersecurity. Rather, it suggests that they are prioritizing other issues that they believe are more pressing at the moment. It is worth noting that cybersecurity is still a major concern for CEOs, and it is likely that they will become more focused on it in the future as the threat landscape continues to evolve.
Investment Priorities
The survey also found that cybersecurity is a top investment priority for executives, with COOs, CIOs, CISOs, and CFOs placing it in their top three. This is not surprising, given the importance of cybersecurity in protecting company assets and preventing data breaches. The survey also found that there is geographical consistency in investment priorities, with cybersecurity ranking highly among investment priorities for executives in most regions. However, there were some exceptions, with executives in Australia and New Zealand not ranking cyber threats in their top five. This suggests that companies in these regions may need to do more to raise awareness about the importance of cybersecurity and to invest in cybersecurity measures.
AI-Related Concerns
The survey also asked executives about their AI-related concerns, and again cybersecurity dominated their fears. Executives in virtually all roles said that risks related to data required for AI use and cybersecurity exposure were one of their three biggest AI-related worries. This is not surprising, given the increasing use of AI in business and the potential risks associated with it. The survey also found that not all industries worry equally about the cyber-related risks of AI tools. In the consumer products sector, executives ranked the threat second, while in the energy sector, it ranked third. In the healthcare sector, it ranked first. This suggests that companies in different industries need to be aware of the specific cybersecurity risks associated with AI tools and to take steps to mitigate them.
Conclusion
In conclusion, the Protiviti survey highlights the importance of cybersecurity as a strategic enterprise risk that requires attention from executives across all sizes of organizations, roles, and geographic regions. The survey found that cybersecurity is the top risk facing businesses and the top investment priority for executives. It also found that CEOs did not rank cyber threats in their top five concerns, but this does not mean that they are not concerned about cybersecurity. Rather, it suggests that they are prioritizing other issues that they believe are more pressing at the moment. The survey also found that AI-related concerns are dominated by cybersecurity fears, and that not all industries worry equally about the cyber-related risks of AI tools. Overall, the survey suggests that companies need to take a proactive approach to cybersecurity and to invest in measures to prevent data breaches and protect company assets.